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Sole Proprietorship

A sole proprietorship, also known as the sole trader or simply a proprietorship, is a type of business entity that is owned and run by one individual and in which there is no legal distinction between the owner and the business. The owner receives all profits (subject to taxation specific to the business) and has unlimited responsibility for all losses and debts. Every asset of the business is owned by the proprietor and all debts of the business are the proprietor's. This means that the owner has no less liability than if they were acting as an individual instead of as a business. It is a "sole" proprietorship in contrast with partnerships.

A sole proprietor may use a trade name or business name other than his or her legal name. In many jurisdictions there are rules to enable the true owner of a business name to be ascertained. In the United States there is generally a requirement to file a doing business as statement with the local authorities. In the United Kingdom the proprietor's name must be displayed on business stationery, in business emails and at business premises, and there are other requirements.

Contents

Advantages

There are many advantages of corporations that are described in that article; chiefly they are the ability to raise capital either publicly or privately, to limit the personal liability of the officers and managers, and to limit risk to investors

From Wikipedia under the GNU Free Documentation License
Sun Dec 11 14:20:51 2011

Noun

Sole proprietorship

Wikipedia sole proprietorship (plural sole proprietorships)

  1. (law) A business that is wholly owned by a single person, who has unlimited liability.
See also

From Wiktionary under the GNU Free Documentation License
Mon Dec 19 11:13:59 2011


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Is it possible to run a home based sole proprietorship business under both your name and a business name?
Q. I'm planning to start a home based sole proprietorship business (consulting), based in California. For some accounts, I would like to use my name, and for some others I would like to use a business name (after registering it). Is it possible to do this? If yes, can I put all transaction under the same tax/accounting?
Asked by Alexander F - Tue Aug 10 05:40:07 2010 - - 1 Answers - 0 Comments

A. While some of the issues regarding licenses, permits, and business names can be handled alone, some matters (including establishing your business and brand names) may require the help of a lawyer. So before you start, it's a good idea to line up a lawyer whose practice is focused on business. A good way to find a lawyer is to ask for recommendations from your accountant or business acquaintances. If you're not sure about needing help on an issue, ask your lawyer about it first. Your investment in legal fees now can help you avoid much bigger problems at a later date.
Answered by sonu - Tue Aug 10 06:10:13 2010

Can I use my home address as business address for starting a sole proprietorship?
Q. I want to start a small home based business and it will be a sole proprietorship.I wanted to know If I can use my home address as business address for opening current account,business stamp etc. Edit:That was fast guys Thanks for the help
Asked by vrn1 - Fri Nov 9 14:06:09 2007 - - 11 Answers - 0 Comments

A. As a sole proprietor, your home is generally your place of business. Therefore it is okay to use your home addres.
Answered by ramseysii - Fri Nov 9 14:09:35 2007

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Business Structures Forming a Corporation, Llc, Partnership, or Sole Proprietorship @ ValoreBooks.com
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Title: Sole Proprietorship Workbook Author: Allan F. Appel ISBN: 0916592758 Publisher: Panel Publishers, Inc. Publication Date: 1988 Binding: Paperback Condition: Very good Comments: shelf wear, small crease on front cover

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